The golden age of travel hacking is fading as airlines and banks overhaul loyalty programs and premium credit cards with higher fees and harder-to-use benefits, the New York Times reported Sunday.
What once allowed savvy cardholders to score luxury flights and lounge access with ease has become more restrictive. Top travel cards such as Delta’s (NYSE:DAL) co-branded Amex (NYSE:AXP), Chase Sapphire Reserve (NYSE:JPM), Citi Strata Elite (NYSE:C) and Amex Platinum (NYSE:AXP) now carry annual fees as high as $795, often paired with “coupon book” perks that require specific spending conditions or niche services.
The value proposition isn’t as simple anymore, Gilbert Ott, a loyalty consultant, told the newspaper. Experts note that while credits for luxury hotels, ride-hailing or charter flights may look generous on paper, many customers struggle to fully redeem them.
Airlines and banks, however, are thriving. Delta (NYSE:DAL) generated $7.4 billion last year from selling points to American Express (AXP), while United (NASDAQ:UAL) and American (NASDAQ:AAL) also earn billions through credit card partnerships. Rising loyalty revenues have made these programs a cornerstone of airline profits, and premium card membership continues to grow despite the changes.
Analysts say the trend reflects a bid to keep high-spending travelers locked into airline and bank ecosystems, even if fewer customers can maximize every perk. For consumers, the path to outsized rewards still exists, primarily through big sign-up bonuses and transferable points, but it takes more effort than ever.